An analyst from JF Apex Securities said, "The market is expected to remain volatile and given the bearish market, it's normal that investors turn to the put warrants." The broader market sentiment on the Bursa Malaysia was negative, as losers thumped gainers by 819 to 105, while 203 counters traded unchanged.

Chinese stocks fell back into a bear market, wiping out gains from an unprecedented state rescue campaign as investors lose confidence in government efforts to manage the country’s markets and economy.

To avoid getting caught at the high or the low, you must understand the nature of markets and how they function. Once you accomplish that realization, you will see your real opponent is YOURSELF, not the grand cabal. The majority must be trapped at the high, which then creates the panic when the majority tries to sell but there is no bid.

Sometimes it seems like the investment community operates on the assumption that the world started in 1929 – or at least that the financial booms, busts and speculators preceding the 1920s are irrelevant to the modern investor. We think this is misguided. Just consider that this common worldview ignores an age where speculators lived in sprawling mansions on Fifth Avenue (as opposed to apartments in the same place measuring about 1/100th the size)! We imagine that there’s a lot to learn from looking at the past 300 years as opposed to the past 80.

Because the only protection against a bear market is to be in cash on the sidelines or actually invested in bear market funds. And don’t let any of these index proponents tell you any different—when the markets head south, index funds with will join the crowd.

Any fool can buy. It is the smart investor that knows when to sell. Bear markets are usually 3 times faster going down than bull markets going up. Being out of the market in cash is a position. No broker will ever say that. A slow but reliable method for exiting stock market positions is called the DEATH CROSS. When that signal is shown it means the market is headed lower. There will be times when using this strategy the client will lose money, but over the long run it has an excellent profit record. He will always be out during 30, 40, 50% declines.

As with animal and plant ecology the weak should be allowed to disappear. As a financial student I see new instruments and corporation types being created and others dying out because they were not able to feed in the current market ecology.